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Sweden's Latest News Roundup: Updates for Tuesday

Expects Sweden to Decrease VAT on Food, Potential Increase in Property Prices, and Lower Costs for Fruits and Veggies in August, Alongside Other Swedish News Highlights on Tuesday.

Daily Updates from Sweden: Latest News Highlights on a Tuesday
Daily Updates from Sweden: Latest News Highlights on a Tuesday

Sweden's Latest News Roundup: Updates for Tuesday

In August 2022, Sweden's economy showed a mixed picture, according to various reports. Food prices, including fruits, vegetables, oil, and vinegar, saw a decrease, as reported by Matpriskollen. However, this decrease was not universal, as chicken and baby food prices rose during the same period. Overall, food prices remained steady, with no underlying pressure affecting prices.

On the housing front, residential property prices saw an overall increase of 1.8%, as reported by SBAB and Booli. The price of apartments in Greater Malmö and Northern Sweden decreased by 1.1% and 2.4% respectively, but prices in Greater Gothenburg and Greater Stockholm increased by 4.3% and 4.1% respectively. Robert Boije, SBAB's chief economist, stated that a rise in property prices in August is normal, expecting housing prices to stay relatively stable by the end of the year.

The Swedish government, led by Finance Minister Elisabeth Svantesson, announced plans to reduce Value-Added Tax (VAT) on food from 12% to 6% starting April 1, 2023. This move is intended to increase the buying power of Swedish households, stimulate consumption, and boost economic growth. The reduction is estimated to cost 16 billion kronor in 2026 and 21 billion kronor in 2027.

Education in Sweden has been under scrutiny, with a new report from the Swedish National Agency for Education revealing that pupils born in Sweden have seen their school performance worsen in recent years. The study found no improvement in Sweden's schools in giving children from all backgrounds an equal chance. Among pupils born in Sweden, family background has a significant impact on all subjects, particularly in mathematics.

A new pro-immigration party named Enighetspartiet was founded in 2024 by Mikael Jansson. The party's slogan is: "Sweden needs more immigration, not less." The party argues that immigration is essential for Sweden's health and welfare to function. Another pro-immigration party, launched by former Social Democrat MP Jamal El-Haj, also made its debut during this period.

The study marked the first time since the end of the 1990s that children born in Sweden have seen their results decline, both in terms of qualifications and marks. Despite these challenges, the new parties aim to address these issues and promote a more inclusive and diverse Sweden.

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